For more than 20 years, Mr Woodford has been a renowned investor in big FTSE 100 firms, but now he is turning his attention to a fund for smaller companies.

Based in Oxfordshire, the Patient Capital Trust will help finance early-stage firms, many of which will have a science and medical bias. This makes the trust quite a risky punt since many start-up firms fail.

Patient Capital Trust will help finance early-stage firms, many of which will have a science and medical bias

Perhaps because of this, there will be no annual management fee. Instead, a performance fee will be paid to the manager if it meets its target of returning 10 per cent each year.

In this case, Mr Woodford will take 15 per cent of any profits over that level as a fee. As a safety net, around 25 per cent of the trust’s cash will be in larger, more stable firms.